[Japan] Kansai EPC: Additional investment in SkyDrive and expansion of capital and business alliance

As of March 26, 2025, the Kansai Electric Power Co., Inc. (Kansai EPC) entered into a new capital and business alliance agreement, as well as agreements related to additional investment, with SkyDrive Inc. [1] Kansai EPC has been collaborating with SkyDrive to date in the development of optimal charging systems for the aircraft that SkyDrive is developing, as well as in the development of energy management systems, with the aim of providing mobility services for AAM. The goal of this alliance is to collaborate to propose energy solutions to operators of vertiports and to achieve de facto standardization of charging systems for AAM. SkyDrive is the only domestic aircraft manufacturer of Aam scheduled to operate at the Osaka-Kansai Expo 2025.

 [1] https://www.kepco.co.jp/english/corporate/pr/2025/pdf/mar26_1.pdf

[USA] US biodiesel use increases outside of the transportation sector

As of March 26, 2025, the Energy Information Administration (EIA) found that a small but increasing amount of biodiesel in the US is consumed in the residential, commercial, and electric power sectors. [1] Previously, all US biodiesel consumption was allocated to the transportation sector, where a vast majority is consumed. Biodiesel is a renewable fuel produced using fats, oils, or greases usually blended with petroleum diesel and consumed by trucks. In 2023, the transportation sector accounted for about 95% of the 46 million barrels of biodiesel consumed in the United States. Biodiesel can also be blended with heating oil to heat homes and businesses. Residential and commercial sectors combined accounted for nearly 5% of US total biodiesel consumption in 2023, up from about 1% a decade before. The introduction of biofuel blending mandates for heating oil in some northeastern states is contributing to this growth.

[1] https://www.eia.gov/todayinenergy/detail.php?id=64824

[USA] Texas Senate passes bill to establish dispatchable power credits trading program

As of March 20, 2025, the Texas Senate passed a bill to create a new dispatchable power credits trading program that would require utilities, generation companies, and electric cooperatives in the Electric Reliability Council of Texas (ERCOT) territory to offset new renewables and battery capacity with an equal amount of new dispatchable capacity beginning as early as next year. [1] The bill defines dispatchable generation to exclude batteries and exempts companies that only operate battery storage systems. S.B.388 updates a 25-year-old section of the Texas Utilities Code to reflect the intent of the legislature that 50 percent of the megawatts of generating capacity installed in ERCOT power region after January 1, 2026, be sourced from dispatchable generation other than battery energy storage. It requires the Texas Public Utilities Commission to establish a program through which covered utilities and power generation companies would buy dispatchable power credits to cover any deficit in dispatchable generation capacity under the companies’ ownership or control. The bill says that the PUC must activate the credit trading program if it determines that dispatchable generation may provide less than 55 percent of all new generating capacity installed in the ERCOT power region after January 1, 2026.

[1] https://legiscan.com/TX/text/SB388/2025

[USA] MISO proposes framework to accelerate generation interconnection

As of March 17, 2025, the Midcontinent Independent System Operator (MISO) asked federal regulators to approve an Expedited Resource Addition Study process (ERAS) to provide a framework for the accelerated study of generation projects that can address urgent resource adequacy and reliability needs in the near term. [1] MISO asked the Federal Energy Regulatory Commission (FERC) to approve the ERAS proposal to be effective by May 17. MISO is on pace for near-term capacity shortfalls, if resource retirements continue as planned. MISO told FERC that recent surveys and forecasts demonstrate the urgency with which MISO needs to address significant resource adequacy needs in its footprint that are compounded by the addition of unexpected large spot loads. In its proposal, MISO said that the ERAS proposal is their answer to addressing these resource adequacy and reliability needs in the near term. MISO said it wants to sunset ERAS by the end of 2028, reflecting its intention for these projects to be completed as soon as possible and providing sufficient time to complete other queue process improvements.

[1] https://cdn.misoenergy.org/2025-03-17_Docket%20No.%20ER25-1674-000685943.pdf

[USA] EPA withdraws air quality permit for 1.5-GW Atlantic Shores offshore wind project

As of March 14, 2025, the Environmental Protection Agency (EPA) remanded the Atlantic Shores wind energy project’s Clean Air Act permit. [1] The Environmental Appeals Board said EPA’s Region 2 office, which covers New Jersey, requested the voluntary remand so that the region may reevaluate the project and its environmental impacts. [2] This is in light of President Trump’s Jan. 20 executive order, which mandated a pause on offshore wind leasing and a review of existing leases. The filing said that Atlantic Shores Offshore Wind filed a March 7 response objecting to the remand, asserting that the Region 2 didn’t provide good cause for it, but the board said it has broad discretion over the voluntary remand. Region 2’s review of the permit will involve conferring with other executive branch agencies regarding further evaluation of various impacts that may result from the Project, including environmental concerns.

[1] https://yosemite.epa.gov/oa/eab_web_docket.nsf/9C7B7CF33923032185258C4D0058F4A7/$File/Atlantic%20Shores%20Order%20Granting%20Motion%20for%20Voluntary%20Remand,%20FINAL.pdf

[2] https://www.whitehouse.gov/presidential-actions/2025/01/temporary-withdrawal-of-all-areas-on-the-outer-continental-shelf-from-offshore-wind-leasing-and-review-of-the-federal-governments-leasing-and-permitting-practices-for-wind-projects/

[Japan] Project financing for Seagreen Offshore electricity transmission project in UK

As of March 10, 2025, the Japan Bank for International Cooperation signed on March 6 a loan agreement with Seagreen Phase 1 of OFTO Project Limited (Seagreen), a British company invested in by Kyuden International Cooperation, Kyushu Electric Power Transmission and Distribution Co., Inc., and Equitix Investment Management Limited of the United Kingdom. [1] JBIC will provide project financing up to approximately GBP283 million (JBIC portion) for an offshore electricity transmission project for Seagreen offshore wind farm in the UK. Co-financed with Sumitomo Mitsui Trust Bank, Limited, Mizuho Bank, Ltd., and Aviva Life & Pensions UK Limited, the total amount goes to approximately GBP568 million. Seagreen will own and operate the facilities for offshore electricity transmission located about 27 km off the east coast of northeast Great Britain. Seagreen will also transmit the electricity generated by the wind farm, with total generation capacity of 1,075 MW, to the National Grid for 24 years. The expertise gained from the electricity transmission service for the offshore wind farm is expected to be utilized in future projects in Japan and other countries in addition to the UK.

[1] https://www.jbic.go.jp/en/information/press/press-2024/press_00151.html

[USA] DOE approves LNG export permit extension for Golden Pass

As of March 5, 2025, the US Department of Energy (DOE) approved a liquefied natural gas export permit extension for Golden Pass LNG. [1] The project is owned by QatarEnergy and ExxonMobil and is under construction in Sabine Pass, Texas. This is the third LNG project authorization by the DOE since President Trump took office, reversing the Biden administration “pause” on export approvals. Golden Pass is set to begin exporting as early as later this year and will become the ninth large-scale export terminal operating in the United States. Once completed, Golden Pass will be able to export almost 2.57 billion cubic feet per day (Bcf/d) of natural gas as LNG. The DOE’s decision follows two February actions: the export approval for Commonwealth LNG and the order on rehearing that removed barriers to using LNG as “bunkering fuel” used by the ships transporting it.

[1] https://www.energy.gov/articles/doe-issues-export-approval-golden-pass-lng-accelerating-president-trumps-pledge-restore

[USA] Ontario applies 25 per cent surcharge on electricity exports to the US

As of March 10, 2025, the Ontario government has applied a 25 per cent surcharge on all electricity exports to the United States as part of their initial retaliatory measures against US tariffs on Canada. [1] The surcharge will affect 1.5 million homes in Michigan, Minnesota, and New York, costing up to $400,000 every day that it remains in place. Any generator selling electricity to the US is required to add a 25 per cent surcharge valued at $10 per megawatt-hour (MWh) to the cost of power. This surcharge is in addition to the initial round of $30 billion in retaliatory tariffs. Ontario currently exports electricity generated across the province directly to Michigan, New York, and Minnesota. Between 2021 and 2023, Ontario exported 14.6, 14.2, and 12.0 terawatt hours of electricity to the United States. Ontario has 26 transmission connections with neighboring jurisdictions: 11 with Quebec, three with Manitoba, one with Minnesota, four with Michigan, and seven with New York.

[1] https://news.ontario.ca/en/release/1005690/ontario-applies-25-per-cent-surcharge-on-electricity-exports-to-united-states

[USA] US natural gas-directed rigs decreased for second consecutive year in 2024

As of March 4, 2025, the Energy Information Administration (EIA) found that the number of rigs deployed to drill for natural gas in the United States decreased over the last two years. [1] US natural-gas directed rigs decreased 32% between December 2022 and December 2024, a decline that has been concentrated in natural gas-rich Haynesville and Appalachia regions. The decline coincides with record-low natural gas prices for most of 2024 and the wider adoption of advanced drilling and completion technologies. The extent to which producers respond to price changes depends on factors such as uncertainty around future prices, contracts, volatility in the market, and price hedging; the current costs of materials, equipment and labor; and availability of transportation and storage. Producers in natural gas-rich regions have responded to these persistently low prices by drilling less and by curtailing production, which has grown the inventories of drilled but uncompleted wells. If natural gas demand and prices continue to rise, producers could be better positioned to complete these wells and increase production quickly.

[1] https://www.eia.gov/todayinenergy/detail.php?id=64664

[USA] New England, New York grid operators prepare to collect millions in tariffs on Canadian electricity

As of March 3, 2025, the New York Independent System Operator (NYISO) and ISO New England (ISO-NE) have both made tariff-related filings with the Federal Energy Regulatory Commission (FERC) in advance of a 10% tariff on Canadian electricity imports that is expected to take effect on March 4, 2025. [1] The tariff on Canadian energy resources is part of a broader set of duties on imports President Trump announced in January, which were subsequently paused for 30 days. [2] In a previous statement, ISO-NE said it was filing with FERC a proposed mechanism allowing it to collect customs duties related to electricity imported from Canada and sold into ISO-administered markets if directed by the federal government. [3] However, according to the filing, ISO-NE also believes that the custom duties described by the Trump administration do not appear to apply to electricity, and even if they do, ISO-NE would not be responsible for implementing them. [4] Similarly, NYISO said its own role in collecting the tariffs is uncertain. In a statement, NYISO emphasized that it is not yet clear whether imports of electrical energy from Canada are subject to the Canadian Tariff Order, or if they are, whether NYISO will be required to play a role in collecting or remitting duties. NYISO asserted that there are strong legal and policy arguments suggesting that the answer to both of those questions is “no”.

[1] https://elibrary.ferc.gov/eLibrary/docinfo?accession_number=20250228-5426

[2] https://elibrary.ferc.gov/eLibrary/filelist?accession_number=20250228-5081&optimized=false

[3] https://www.iso-ne.com/static-assets/documents/100020/exigent_circumstances_filing.pdf

[4] https://www.nyiso.com/-/nyiso-statement-regarding-tariffs-on-imported-electricity-1

[USA] Last Energy plans to deploy 600 MW of microreactors to power Texas data centers

As of February 28, 2025, Last Energy, a micro-nuclear technology developer, announced plans to build 30 microreactors in Haskell County, Texas, to serve American data center customers across the state. [1] The company will build its microreactors on a 200-acre site and provide power to off-takers through a mix of private wire and grid transmission. The company has filed for a grid connection with the Electric Reliability Council of Texas (ERCOT) and is preparing to file for an Early Site Permit (ESP) with the US Nuclear Regulatory Commission (NRC). Last Energy’s plans are in response to the overwhelming demand from Texas-based data center developers over the past year. Last Energy’s Texas site would increase the company’s development capacity by another 30 units and enable the expansion of its commercial pipeline throughout the US. Last Energy’s Northwest Texas project will play an important role in adding capacity to the grid and meeting data center deployment projections.

[1] https://www.lastenergy.com/news-press/last-energy-announces-plan-to-deploy-30-microreactors-in-texas

[Japan] Kansai and Iberdrola agree to expand global strategic alliance

As of February 21, 2025, Kansai Electric Power Co. (Kansai), announced that it signed a new memorandum on global strategic collaboration with Iberdrola. [1] The strategic partnership aims to focus on renewables and transmission and distribution, with both companies accelerating global business development. Iberdrola is a major company in the renewable energy sector with a worldwide footprint in almost 30 countries. Kansai is collaborating with Iberdrola on joint investments in projects, including the Windanker offshore wind farm in Germany, and the UK distribution network (Electricity North West (ENW) group). This collaboration aims to expand its global business and contribute to the achievement of a zero-carbon society.

[1] https://www.kepco.co.jp/english/corporate/pr/2025/pdf/feb21_1.pdf

[USA] PJM board approves $6.7B transmission expansion plan

As of February 26, 2025, the PJM Interconnection board approved $5.9 billion in new transmission projects to bolster reliability across the grid operator’s footprint. [1] That, along with the changes to the scope and cost of existing projects, mean PJM’s latest Regional Transmission Expansion Plan is set to cost $6.7 billion, according to the grid operator. [2] The plan contains a modified version of a proposal to build a 765-kV, multistate transmission backbone offered by American Electric Power, Dominion Energy Virginia, and FirstEnergy. [3] This $4.6 billion set of projects aims to bolster west-east regional power transfers according to PJM staff analysis of its recommended plan. The plan calls for 260 miles of 765-kV transmission line between Putnam County, West Virginia, and Frederick County, Maryland. It also calls for a 155-mile line between Campbell and Fauquier counties in Virginia, according to AEP. The board also approved a revised cost estimate - $1.5 billion, up from $739 million – for transmission additions, PJM needs to allow Talen Energy to retire its coal-fired Brandon Shores power plant in Maryland. Exelon subsidiaries Baltimore Gas and Electric, PECO Energy, and Potomac Edison will be the projects’ primary builders.

[1] https://www.pjm.com/-/media/DotCom/committees-groups/committees/teac/2025/20250204/20250204-pjm-board-whitepaper-february-2025.pdf

[2] https://www.pjm.com/-/media/DotCom/committees-groups/committees/teac/2025/20250304/20250304-2024-rtep-window-1-reliability-analysis-report.pdf

[3] https://www.aep.com/news/stories/view/10048/

[Japan] Government of Japan cabinet decision on the Seventh Strategic Energy Plan

As of February 18, 2025, the Government of Japan made a Cabinet Decision on the Seventh Strategic Energy Plan after going through the public comment procedure and other processes. [1] The Strategic Energy Plan is formulated under the Basic Act on Energy Policy to show the basic directions for Japan’s energy policies. The Advisory Committee for Natural Resources and Energy began discussions on the Seventh Strategic Energy Plan in May of 2024 and presented the draft version of the plan on December 17, 2024. Most recently, a cabinet decision was made such that the GX2040 Vision and the Plan for Global Warming Countermeasures were approved, with the intention of furthering a stable energy supply, economic growth, and decarbonization simultaneously. The previous revision occurred in October 2021, with the newer one being implemented in light of the changing energy situation in Japan.

 [1] https://www.meti.go.jp/english/press/2025/0218_001.html

[USA] Kentucky Senate passes Bill 179 to Establish Nuclear Energy Grant Program

As of February 20, 2025, a bill that will create a grant program to advance nuclear energy developments in Kentucky passed out of the Kentucky Senate’s Natural Resources and Energy committee. [1] The bill, entitled Senate Bill 179, aims to build on other efforts to create opportunities for Kentucky to pursue investments in nuclear energy, setting aside $10 million from existing appropriations to the University of Kentucky and the Kentucky Nuclear Energy Development Authority (KNEDA) for grant funding. The program that would be created by this bill would be administered by KNEDA, the nonregulatory state agency that was created during the 2024 legislative session. A subcommittee of the agency’s members would be responsible for administering awards for the grant program, which would be capped at $2 million. The agency will also be charged with promoting the program, accepting applications, and overseeing the distribution of funds.

[1] https://apps.legislature.ky.gov/record/25rs/sb179.html

[USA] White House claims authority over FERC, other independent agencies

As of February 18, 2025, President Donald Trump issued an executive order stating that the Federal Energy Regulatory Commission (FERC) and other independent agencies, such as the US Securities and Exchange Commission, must submit proposed and final significant regulatory actions for review by the Office of Management and Budget’s (OMB) Office of Information and Regulatory Affairs. [1] According to the executive order, independent regulatory agencies currently exercise substantial executive authority without adequate accountability to the president, including issuing regulations without review by the White House. [2] The order states that FERC Chairman Mark Christie and other heads of independent agencies will consult with and coordinate agency policies and priorities with the directors of OMB, the White House Domestic Policy Council, and the White House National Economic Council. The OMB’s director will set performance standards and management objectives for independent agency heads and report to the president on their performance and “efficiency” in meeting them. The order also states that Christie and other independent agency chairmen will submit agency strategy plans to the OMB director for clearance prior to finalization. FERC has 15 planned regulations in the pre-rule and proposed rule stages, including proposals dealing with transmission incentives and dynamic line ratings, according to the Office of Information and Regulatory Affairs.

[1] https://www.whitehouse.gov/presidential-actions/2025/02/ensuring-accountability-for-all-agencies/

[2] https://www.reginfo.gov/public/do/eAgendaMain?operation=OPERATION_GET_AGENCY_RULE_LIST&currentPub=true&agencyCode=&showStage=active&agencyCd=1902&csrf_token=10818724E978399CA4EA62DAFFDC21E3716F92B711E068740471F4F9E5BE6FB2BDEF52B5633E3826F69F108844C74148AFB8

[Japan] NYK conducts biofuel trial on coal carrier for Tohoku Electric Power

As of February 9, 2025, NYK started a biofuel test run on its coal carrier Noshiro Maru, which is operated for Tohoku Electric Power Co., Inc. [1] This is the first time in Japan that a coal carrier has been used to test biofuel for a domestic power utility company. Mitsubishi Corporation Energy Co., Ltd. in the Keihin area facilitated the supply of the biofuel. Biofuels are made from organic resources (biomass) of biological origin, and are considered to produce virtually zero carbon dioxide (CO2) emissions when combusted. Since they can be used in heavy-oil powered ship engines, biofuels are considered a key means of reducing GHG emissions during the energy transition. Using biofuels in sea navigation also reduced Scope 3 GHG emissions generated by transporting customers’ cargo. NYK intends to continue introducing biofuels and reducing GHG emissions in their customers’ supply chains, while promoting decarbonization in maritime transport.

[1] https://www.nyk.com/english/news/2025/20250210_04.html

[USA] DOE to focus on expanding baseload generation: Secretary Wright

As of February 5, 2025, the Department of Energy (DOE) Secretary Chris Wright said in an order outlining the department’s priorities, that the DOE will focus on growing baseload and dispatchable generation to meet growing electricity demand. [1] According to Wright, the DOE will focus on adding energy resources rather than taking them away. Wright emphasized that the DOE will exercise all lawful authorities to strengthen the US power grid, including the transmission system, especially considering current and anticipated load growth on electric utilities. He also stated that the department would support emerging nuclear power as well as its rapid deployment. In its R&D programs, the DOE will focus on fossil fuels, advanced nuclear, geothermal, and hydropower, technologies that Wright believes are affordable, reliable, and secure. Wright also suggested that the department would prioritize nuclear fusion, high-performance computing, quantum computing, and AI, in order to maintain global competitiveness.

[1] https://www.energy.gov/articles/secretary-wright-acts-unleash-golden-era-american-energy-dominance

[USA] Trump announces US-Japan energy deal for Alaska LNG exports

As of February 10, 2025, President Donald Trump hosted Prime Minister Ishiba at the White House for their first US-Japan summit. [1] During the joint press conference, President Trump announced a new energy partnership with Japan that involves $44 billion worth of exports from the Alaska LNG project. [2] Trump’s executive order “Unleashing Alaska’s Extraordinary Resource Potential,” prioritizes the development of Alaska’s LNG potential, including the permitting of all necessary pipeline and export infrastructure related to the Alaska LNG Project. [3] The project has also already received federal approvals, including from the Federal Energy Regulatory Commission (FERC) and other departments. It is expected to deliver from the North Slope gas fields on average about 3.5 billion cubic feet of gas per day, much of it reserved for international markets.

[1] https://jp.usembassy.gov/president-trump-hosts-prime-minister-ishiba-in-washington/ [2] https://www.whitehouse.gov/presidential-actions/2025/01/unleashing-alaskas-extraordinary-resource-potential/ [3] https://alaska-lng.com/project-overview/

[Japan] Sumitomo Electric initiates project for redox flow battery system in the Oki Islands

As of February 5, 2025, Sumitomo Electric Industries, Ltd. has initiated a project for constructing a storage battery system using redox flow batteries (final scale: output 4,000 kW, capacity 12,500 kWh) in Ama Town, Oki County, Shimane Prefecture in Japan. [1] This storage battery system is an initiative that three parties – Chugoku Electric Power Transmission & Distribution Co., Inc., Ama Town, and como-gomo. company – have worked on under a subsidy from Japan’s Ministry of the Environment titled “Facility Introduction Support Project for Mainstreaming Renewable Energy in Remote Islands.” Sumitomo Electric plans to contribute to the promotion of carbon neutrality and the enhancement of resilience to disasters in the Oki Islands through the redox flow battery system. The aforementioned three parties will accelerate efforts to realize a decarbonized society in Ama Town through a tripartite public-private partnership. The project will build a next-generation power network that can respond to disasters, including independent power supply operation (microgrid) during emergencies. This initiative is also expected to contribute to renewable energy development in the Oki islands.

[1] https://sumitomoelectric.com/press/2025/02/prs013